Bracing for Higher Premiums
To the mantra of life’s certainties, add higher home-insurance rates to death and taxes.
Increasingly, buying a vacation home means allotting more dollars to cover insurance premiums, as rates in coastal towns soar and insurance companies move to stop writing policies altogether. Unfortunately, homeowners are left with few options...
Cape Cod home buyers may ultimately have to buy their policies from the Massachusetts FAIR Plan, the state’s home insurer of last resort. “It’s double the cost of a normal insurance policy,” said Jack Cotton, a broker at Sotheby’s International Realty on Cape Cod. However, Mr. Cotton said that the cost of home insurance has not deterred vacation home buyers, though he now advises his clients to start the insurance search early. “You can no longer wait until the last minute to get insurance,” he said. “You used to call from the closing table but now you have to start the process at least 30 days in advance”...
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